Borrowers without deposits shouldn’t be buying
February 24th, 2009 by Lianne
A recent comment coming from a foreign property advice company said that anyone who needed to borrow 100% against their property is probably not in the right place financially to be buying a property at this stage.
The Managing director, John Reilly at www.BuyAbroad.com was recently responding to the increased reports that some British are still able to get 100% loans if they are purchasing a property in France.
He pointed out that
“You have got to question people relocating to a new country but needing a 100 per cent mortgage to do it.”
Mr Reilly also stated that it was highly unlikely that the majority of people would want to purchase a new property unless they could really afford it.
“It is generally perceived in the property market that if you need a 100 per cent mortgage then you shouldn’t be buying a property,”
he commented.
The company to have spurred all the excitement is French Mortgage Direct who is selling 100% mortgages to people overseas who wish to purchase French properties.
The investment publication Jet-to-Let commented that France had already been voted as the second most popular country in the world for foreign property investors. Cyprus is the most popular.
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